March 21, 2018

Nifty can Bounce by 300-400 Points from 10141-10083 Range

Nifty opened lower at 10345, decline sharply just after opening and traded with huge negativity for rest of the day. Nifty declined by about 180 points to register day’s low 10180 and closed 165 points down at 10195.

Yesterday, I expected an Ending Diagonal Triangle in progress and a decline below 10141 was expected without breaking above 10631 to complete this pattern. 10420 was immediate breakeven point and stoploss for shorts.

Short term trading strategy was Selling on Rise with stoploss of 10421. And I also suggested holding hedge trade taken on Monday/Tuesday by buying 10600 Call and 10300 Put in equal quantity till further update. Hedge trade was giving 60-70 points profit on Friday. Let’s have a fresh look at latest charts for further scenario.